Cryoport announced the expansion of its global supply chain network and services by signing an agreement to acquire CRYOPDP, a provider of temperature-controlled logistics solutions to the clinical research, pharmaceutical and cell and gene therapy markets, headquartered in Paris, France. The agreement provides for Cryoport to acquire CRYOPDP in an all cash transaction valued at approximately €49 million. CRYOPDP generated over €42 million of revenue in 2019 and is expected to be immediately accretive to Cryoport’s earnings upon closing. The acquisition is expected to close within 60 days, subject to customary closing conditions.
CRYOPDP has over 220 employees located in 22 global facilities in 12 countries and has more than 25 years experience serving the life sciences and healthcare industries, providing customized and turnkey transport solutions, with over 300,000 high-value, time critical annual shipments globally. CRYOPDP covers a significant portion of the healthcare temperature-controlled supply chain including packaging, pick-pack kit preparation, premium services and specialty courier support.
Upon completion of the acquisition, CRYOPDP will provide complementary synergies with Cryoport’s operating entity, Cryoport Systems, with limited overlap in capabilities and infrastructure, from a geographic as well as service and product support standpoint.
CRYOPDP will support the life sciences supply chain across controlled temperature ranges and create significant global cross-selling opportunities. In conjunction with Cryoport Systems’ Cryoportal® Logistics Management Platform, CRYOPDP’s complementing UnITy ITSM platform will create an integrated global logistics solution that guarantees customers full visibility, control and integrity of the “chain of custody” and “chain of condition” providing end-to-end operational excellence across all temperature ranges worldwide. This unified global capability falls into Cryoport’s Chain of Compliance®, which is an important part of Cryoport’s continuous efforts dedicated to de-risking the entirety of the life sciences supply chain processes for its clients.
“Our acquisition of CRYOPDP is an important milestone in carrying out Cryoport’s strategy to further entrench and strengthen our global footprint and support capabilities for the entire life sciences industry and especially for the fastest growing segment of high value, lifesaving cell and gene therapies. CRYOPDP is made up of a strong team of professionals and led by experienced and highly motivated leadership,” Jerrell Shelton, Chief Executive Officer of Cryoport, said. “CRYOPDP is especially strong in EMEA and APAC, where it enjoys a strong reputation as a valued specialist logistics provider to CROs (clinical research organizations), the pharmaceutical industry, and the life sciences clinical research community. Over the coming months we anticipate focusing more attention on the fast-growing cell and gene therapy industry, where CRYOPDP will play an increasing role. CRYOPDP’s best-in-class temperature-controlled logistics solutions are complementary to Cryoport Systems’ existing offering, which will allow both companies to leverage each other’s strengths and expand our high growth profile as well as provide a broader array of temperature-controlled supply chain solutions to our respective client bases through coordinated cross-selling and up-selling of our new unified capabilities.”